You must create a database to store the repository tables in the server. Only authenticated databases can be used with the authenticated version of SQL Anywhere supplied with PowerDesigner.
Authenticate new databases – by copying the contents of the script authdb.sql delivered with the repository under \Tools, into the file saopts.sql under \Script in the SQL Anywhere directory, on the server machine. The authentication string included in this file will automatically authenticate any new database for use with the repository as soon as you create it.
Authenticate existing databases - by executing the script authdb.sql delivered with the repository under \Tools.